KONTAN.CO.ID - JAKARTA. The Transportation Ministry said it would not prohibit online ojek (motorcycle taxi) service providers from giving tariff discounts, canceling its earlier statement that it wanted to stop discounts to avoid “predatory pricing”. On Thursday, Minister Budi Karya Sumadi said the ministry itself would not be the one that initiated such prohibition. “If some stakeholder requested it, we would discuss it,” he said. Last month, the ministry set a tariff regulation for ride-hailing service providers. The policy, which will be on trial for three months in five cities, regulated minimum and maximum tariffs for the service. The ministry issued the regulation after a series of rallies by ojek drivers that demanded increased tariffs for their welfare.
Ministry cancels plan to prohibit discounts on online 'ojek' services
KONTAN.CO.ID - JAKARTA. The Transportation Ministry said it would not prohibit online ojek (motorcycle taxi) service providers from giving tariff discounts, canceling its earlier statement that it wanted to stop discounts to avoid “predatory pricing”. On Thursday, Minister Budi Karya Sumadi said the ministry itself would not be the one that initiated such prohibition. “If some stakeholder requested it, we would discuss it,” he said. Last month, the ministry set a tariff regulation for ride-hailing service providers. The policy, which will be on trial for three months in five cities, regulated minimum and maximum tariffs for the service. The ministry issued the regulation after a series of rallies by ojek drivers that demanded increased tariffs for their welfare.